The Wellington Destructor, 677 Wellington Street West - Head Lessee and Long Term Lease

This report also seeks authority to apply for funding from other levels of government and from private sources, and to enter into and execute required agreements. The Property presents an opportunity for the adaptive reuse of an existing City-owned heritage building as a cultural and community hub, with employment and commercial uses to generate new income, as well as to complement and support the existing and proposed employment uses of the surrounding area. At its meeting on April 24, 25, 26 and 27, 2018, City Council authorized the Deputy City Manager, Internal Corporate Services (now Corporate Services) to develop and undertake a call process to seek and secure a head lessee for a long-term lease of the Wellington Destructor, and to report back to City Council on the results of the call process with a final recommendation for the selected head lessee. In 2019, Corporate Real Estate Management completed the call process, including the evaluation of proposals. As directed by City Council, CreateTO negotiated a term sheet with the proposed Head Lessee, which outlines the basic terms of the Lease and ongoing management of the Property. Pending City Council approval of the recommendations in this report, and subject to the approval of the City's capital funding contribution to the Project Proposal to be brought forward in the 2022 Budget process, City and CreateTO staff will complete the negotiations of the Lease and will work with the Head Lessee to develop a community engagement strategy, in consultation with the local Councillor.

the Executive Director, Corporate Real Estate Management to enter into a long-term lease with TAS Tecumseth Niagara LP, conditional upon declaration that the 677 Wellington Street West property is surplus to the City's needs and conditional upon capital funding approval through the 2022 budget process, substantially on the major terms and conditions set out in the Revised Confidential Attachment 2 of the CreateTO Board Report, and on such other or amended terms and conditions including funding and financial conditions acceptable to the Executive Director, Corporate Real Estate Management, or their designate, and in a form satisfactory to the City Solicitor. 3. City Council authorize the Executive Director, Corporate Real Estate Management, or their designate, to administer and manage the Lease including the provision of any amendments, consents, approvals, waivers, notices, and notices of termination, provided that the Executive Director, Corporate Real Estate Management may, at any time, refer consideration of such matters, including their content, to City Council for its determination and direction. 4. City Council authorize the City Manager and/or any other relevant City Official, in consultation with the Chief Financial Officer and Treasurer, to apply for and receive funding, and negotiate, enter into and execute any agreements required in respect of such funding for the Wellington Destructor project, including any amendments and extensions thereto, with the Government of Canada, the Province of Ontario and their respective agencies, and/or non-government sources, in a form satisfactory to the City Solicitor. 5. City Council authorize the public release of the Confidential Attachment 1 and the Revised Confidential Attachment 2 to the CreateTO Board Report following the execution of the Lease by the Head Lessee and the City.